Sunesis Pharmaceuticals Earnings: Here’s Why Investors are Selling Shares Now

Sunesis Pharmaceuticals Inc. (NASDAQ:SNSS) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 9.20%.

Sunesis Pharmaceuticals Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased to $0.18 in the quarter versus EPS of $-0.18 in the year-earlier quarter.

Revenue: Rose 32.67% to $1.99 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Sunesis Pharmaceuticals Inc. reported adjusted EPS income of $0.18 per share. By that measure, the company beat the mean analyst estimate of $-0.21. It beat the average revenue estimate of $1.22 million.

Quoting Management: “We continue to make substantial progress with the VALOR trial, a study with transformational potential in the treatment of AML,” said Daniel Swisher, Chief Executive Officer of Sunesis. “With the goal of reaching a final sample size of at least 675 evaluable patients, the trial was designed to over enroll by 5% to 712 patients. As of today, enrollment has exceeded 675 patients, and we now expect to complete enrollment this quarter, with unblinding of the trial expected in the first half of 2014.”

Key Stats (on next page)…

Revenue decreased 0% from $1.99 million in the previous quarter. EPS increased to $0.18 in the quarter versus EPS of $-0.23 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a loss of $0.2 and has not changed. For the current year, the average estimate has moved down from a loss of $0.76 to a loss of $0.84 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)